Jerash Holdings Reports Fiscal 2027 Second Quarter Financial Results
Higher import transportation costs are reflected in the company's third-quarter gross-margin outlook of approximately 16-17 percent.
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Rhea-AI Summary
Jerash Holdings (JRSH) reported fiscal 2027 second-quarter revenue of $50.3 million, up 19.8 percent from the prior-year quarter. For the quarter ended September 30, 2026, net income rose to $2.2 million from $479,000, and diluted earnings increased to $0.16 from $0.04. Gross margin reached 18.2 percent, versus 15.0 percent.
Jerash expects third-quarter revenue of approximately $49 million-$51 million, up approximately 17-22 percent year over year, and gross margin of approximately 16-17 percent, reflecting higher raw-material import transportation costs. Facilities are fully booked through June 2027. The company expects renovation and satellite-factory projects to finish by September 2027, adding approximately 15-20 percent to capacity. First-half operating cash flow rose to $7,530,281 from $318,278. A regular quarterly dividend of $0.05 per share is payable November 23, 2026, to holders of record November 16.
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Hollow bars mark forward-looking points. How the balance works
Positive
- Moderate pointSecond-quarter revenue increased 19.8 percent to $50.3 million from $42.0 million a year earlier.
- Moderate pointSecond-quarter gross margin rose 320 basis points to 18.2 percent, from 15.0 percent a year earlier.
- Moderate pointSecond-quarter operating income increased to $3.1 million from $1.1 million a year earlier.
- Moderate pointSecond-quarter net income increased to $2.2 million from $479,000 a year earlier.
- Moderate pointJordan's tax concession reduced the corporate income tax rate from 20 percent to 10 percent, effective October 2025.
- Moderate pointFirst-half operating cash flow increased to $7,530,281 from $318,278 a year earlier.
- Moderate pointCash and cash equivalents rose to $16,051,930 at September 30, 2026, from $10,764,576 at March 31, 2026.
- Moderate point. Forward-looking: it has not happened yet and may not happen.Third-quarter revenue is expected at approximately $49 million-$51 million, up approximately 17-22 percent year over year.
- Moderate pointProduction facilities are fully booked through June 2027.
- Moderate point. Forward-looking: it has not happened yet and may not happen.Renovation and third satellite-factory projects are expected to finish by September 2027, adding approximately 15-20 percent capacity.
11 minor points
- Minor pointSecond-quarter gross profit increased 45.4 percent to $9.1 million from $6.3 million a year earlier.
- Minor pointSecond-quarter diluted earnings rose to $0.16 per share from $0.04 a year earlier.
- Minor pointSecond-quarter effective tax rate declined to 15.7 percent from 24.3 percent a year earlier.
- Minor pointFirst-half revenue increased 23.2 percent to $100.5 million from $81.6 million a year earlier.
- Minor pointFirst-half gross profit increased 40.6 percent to $17.4 million from $12.4 million a year earlier.
- Minor pointFirst-half gross margin increased to 17.3 percent from 15.2 percent a year earlier.
- Minor pointFirst-half operating income increased to $5.7 million from $2.0 million a year earlier.
- Minor pointFirst-half net income increased to $3.8 million from $803,000 a year earlier.
- Minor pointFirst-half diluted earnings rose to $0.29 per share from $0.06 a year earlier.
- Minor pointFirst-half effective tax rate declined to 17.3 percent from 37.5 percent a year earlier.
- Minor pointCredit facilities declined to $4,454,127 at September 30, 2026, from $4,902,996 at March 31, 2026.
Negative
- Moderate point. Forward-looking: it has not happened yet and may not happen.Higher raw-material import transportation costs are reflected in expected third-quarter gross margin of approximately 16-17 percent.
- Minor pointSecond-quarter operating expenses increased to $6.1 million from $5.2 million a year earlier.
- Minor pointSecond-quarter other expenses increased to $506,000 from $456,000, reflecting higher mortgage interest and customer supply-chain financing costs.
- Minor pointSecond-quarter income tax expense increased to $402,000 from $154,000 a year earlier.
- Minor pointFirst-half operating expenses increased to $11.7 million from $10.3 million a year earlier.
2 minor points
- Minor pointFirst-half other expenses increased to $1.1 million from $763,000 a year earlier.
- Minor pointFirst-half income tax expense increased to $806,000 from $483,000 a year earlier.
News Explained
As of
Key Figures
- Revenue
- $50.3 million, up 19.8%
- Fiscal 2027 second quarter vs. prior-year quarter
- Gross profit
- $9.1 million, up 45.4%
- Fiscal 2027 second quarter vs. prior-year quarter
- Gross margin
- 18.2%, up 320 basis points
- Fiscal 2027 second quarter vs. prior-year quarter
- Operating income
- $3.1 million
- Fiscal 2027 second quarter; nearly three-fold from $1.1 million
- Net income
- $2.2 million
- Fiscal 2027 second quarter; 4.5 times the prior-year quarter
- Diluted EPS
- $0.16
- Fiscal 2027 second quarter vs. $0.04 in the prior-year quarter
- Q3 revenue outlook
- $49 million-$51 million
- Fiscal 2027 third quarter; expected growth of 17-22% year over year
- Q3 gross margin outlook
- 16-17%
- Fiscal 2027 third quarter; outlook cites increased raw-material transportation costs
Previous Earnings Reports
-
Reported fiscal 2027 Q1 revenue and net income growth, establishing prior-quarter performance context.
-
Reported comparable fiscal Q2 revenue, gross margin, operating income and net income baseline.
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Key Terms
stock-based compensation financial
effective tax rate financial
net working capital financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAIRFIELD, NJ / ACCESS Newswire / November 10, 2026 / Jerash Holdings (US), Inc. (NASDAQ:JRSH), which manufactures and exports custom, ready-made, sportswear and outerwear in Jordan for leading global brands, today announced financial results for its fiscal 2027 second quarter ended September 30, 2026.
Fiscal 2027 Second Quarter Highlights
- Revenue increased 19.8 percent to
$50.3 million , from$42.0 million in the prior-year quarter. - Gross profit increased 45.4 percent to
$9.1 million , from$6.3 million in the prior-year quarter. - Gross margin increased to 18.2 percent, up 320 basis points, from 15.0 percent in the prior-year quarter.
- Operating income increased nearly three-fold to
$3.1 million , from$1.1 million in the prior-year quarter. - Net income advanced to
$2.2 million , 4.5 times the$479,000 in the prior year quarter.
Outlook
- Revenue for the fiscal 2027 third quarter is expected to be approximately
$49 million -$51 million , an increase of approximately 17-22 percent from the same quarter last year. - Gross margin for the fiscal 2027 third quarter is expected to be approximately 16-17 percent, taking into account of increased transportation costs for raw material imports.
"We delivered a strong quarter of performance, achieving meaningful growth in both revenue and profitability," said Sam Choi, Jerash's chief executive officer. "Over the past several months, we have navigated logistics challenges across the Middle East, including higher import transportation costs driven by regional shipping disruptions and ongoing uncertainty. Despite these headwinds, we expanded margins through strategic early purchases of raw materials, disciplined cost controls, reduced waste, and enhanced operational efficiencies through automation initiatives.
"The Company's results underscore the strength and resilience of our Jordan-based manufacturing platform, which provides benefits from duty free and preferential tariff treatment for qualifying apparel and textile exports to key markets, including the United States, Europe and others. Our ability to maintain reliable execution and on-time delivery in a challenging operating environment continues to be a significant competitive advantage for our company and our customers.
"Our production facilities are fully booked through June 2027, and order in-flow remains strong. To support continued growth and capitalize on new business opportunities, we are actively seeking ways to expand capacity. Renovations at our most recently acquired facility, along with the construction of a third satellite factory supported by the Jordanian government, are expected to be completed by September 2027. Together, these projects are anticipated to increase our production capacity by approximately 15-20 percent, positioning us to meet growing customer demand and support Jerash's long-term growth objectives," Choi added.
Fiscal 2027 Second Quarter Results
Revenue for the fiscal 2027 second quarter increased 19.8 percent to
Gross profit increased 45.4 percent to
Operating expenses totaled
Operating income for the fiscal 2027 second quarter increased nearly three-fold to
Total other expenses were
Income tax expenses were
Net income for the fiscal 2027 second quarter increased to
Comprehensive income attributable to the Company's common stockholders totaled
Six-Month Fiscal Year 2027 Results
Revenue for the first six months of fiscal 2027 increased 23.2 percent to
Gross profit for the first six months of fiscal 2027 increased 40.6 percent to
Operating expenses for the first six months of fiscal 2027 totaled
Operating income for the first six months of fiscal 2027 increased nearly three-fold to
Total other expenses for the first six months of fiscal 2027 were
Income tax expenses totaled
Net income for the first six months of fiscal 2027 increased to
Comprehensive income attributable to the Company's common stockholders totaled
Balance Sheet, Cash Flow, and Dividends
Cash, cash equivalents and restricted cash totaled
On November 5, 2026, Jerash's board of directors approved a regular quarterly dividend of
Conference Call
Jerash Holdings will host an investor conference call to discuss its fiscal 2027 second quarter results today, November 10, 2026, at 9:00 a.m. Eastern Time.
Phone: 888-506-0062 (domestic); 973-528-0011 (international)
Conference ID: 355822
A live and archived webcast will be available online in the investor relations section of Jerash's website at www.jerashholdings.com. For those who are not able to listen to the live broadcast, the call will be archived for approximately one year on the website.
About Jerash Holdings (US), Inc.
Jerash Holdings (US), Inc. manufactures and exports custom, ready-made, sportswear and outerwear for leading global brands and retailers, including VF Corporation (which owns brands such as The North Face, Timberland, and Vans), New Balance, G-III (which licenses brands such as Calvin Klein, Tommy Hilfiger, and Nautica), Urban Outfitters, American Eagle, and Acushnet Holdings Corp (which owns the brand FootJoy). Jerash's existing production facilities in Jordan comprise eight factory units and six warehouses, and Jerash currently employs approximately 6,600 people. Additional information is available at www.jerashholdings.com.
Forward-Looking Statements
This news release contains forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. When used in this document, the words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect", "seek", "potential," "outlook" and similar expressions are intended to identify forward-looking statements. Such statements, including, but not limited to, Jerash's current views with respect to future events and its financial forecasts, expansion of the customer base among high-profile global brands, and plans for the renovation and construction of production facilities, including the expected timing of completion and anticipated increases in production capacity, are subject to such risks and uncertainties. Many factors could cause actual results to differ materially from the statements made, including those risks described from time to time in filings made by Jerash with the U.S. Securities and Exchange Commission. These and other risks and uncertainties are detailed in the Company's filings with the U.S. Securities and Exchange Commission. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated or expected. Statements contained in this news release regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. Jerash does not intend and does not assume any obligation to update these forward-looking statements, other than as required by law.
Contact:
PondelWilkinson Partners
Judy Lin or Roger Pondel
310-279-5980; jlin@pondel.com
# # #
(tables below)
JERASH HOLDINGS (US), INC., AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME (Unaudited)
| For the Three Months Ended September 30, | For the Six Months Ended September 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
Revenue, net | $ | 50,286,467 | $ | 41,968,534 | $ | 100,515,975 | $ | 81,597,842 | ||||||||
Cost of goods sold | 41,138,197 | 35,678,854 | 83,105,650 | 69,219,282 | ||||||||||||
Gross Profit | 9,148,270 | 6,289,680 | 17,410,325 | 12,378,560 | ||||||||||||
Selling, general, and administrative expenses | 5,850,618 | 4,971,466 | 11,255,007 | 9,878,681 | ||||||||||||
Stock-based compensation expenses | 228,826 | 228,826 | 455,164 | 451,495 | ||||||||||||
Total Operating Expenses | 6,079,444 | 5,200,292 | 11,710,171 | 10,330,176 | ||||||||||||
Income from Operations | 3,068,826 | 1,089,388 | 5,700,154 | 2,048,384 | ||||||||||||
Other Income (Expenses): | ||||||||||||||||
Interest expenses | (532,385 | ) | (493,482 | ) | (1,081,738 | ) | (849,330 | ) | ||||||||
Other income, net | 26,401 | 37,153 | 30,247 | 86,467 | ||||||||||||
Total other expenses, net | (505,984 | ) | (456,329 | ) | (1,051,491 | ) | (762,863 | ) | ||||||||
Net income before provision for income taxes | 2,562,842 | 633,059 | 4,648,663 | 1,285,521 | ||||||||||||
Income tax expenses | 401,627 | 153,756 | 805,800 | 482,588 | ||||||||||||
Net income | 2,161,215 | 479,303 | 3,842,863 | 802,933 | ||||||||||||
Net income attributable to noncontrolling interest | (4,291 | ) | (17,698 | ) | (6,054 | ) | (22,652 | ) | ||||||||
Net income attributable to Jerash Holdings (US), Inc.'s Common Stockholders | $ | 2,156,924 | $ | 461,605 | $ | 3,836,809 | $ | 780,281 | ||||||||
Net income | $ | 2,161,215 | $ | 479,303 | $ | 3,842,863 | $ | 802,933 | ||||||||
Other Comprehensive Income (Loss): | ||||||||||||||||
Foreign currency translation gain (loss) | 28,539 | (17,215 | ) | 5,726 | (7,651 | ) | ||||||||||
Total Comprehensive Income | 2,189,754 | 462,088 | 3,848,589 | 795,282 | ||||||||||||
Comprehensive income attributable to noncontrolling interest | (4,291 | ) | (17,698 | ) | (6,054 | ) | (22,652 | ) | ||||||||
Comprehensive Income Attributable to Jerash Holdings (US), Inc.'s Common Stockholders | $ | 2,185,463 | $ | 444,390 | $ | 3,842,535 | $ | 772,630 | ||||||||
Earnings Per Share Attributable to Common Stockholders: | ||||||||||||||||
Basic | $ | 0.17 | $ | 0.04 | $ | 0.30 | $ | 0.06 | ||||||||
Diluted | $ | 0.16 | $ | 0.04 | $ | 0.29 | $ | 0.06 | ||||||||
Weighted Average Number of Shares | ||||||||||||||||
Basic | 12,699,940 | 12,699,940 | 12,699,940 | 12,699,940 | ||||||||||||
Diluted | 13,500,723 | 13,174,524 | 13,455,346 | 13,125,459 | ||||||||||||
Dividend per share | $ | 0.05 | $ | 0.05 | $ | 0.10 | $ | 0.10 | ||||||||
JERASH HOLDINGS (US), INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
| September 30, 2026 | March 31, 2026 | |||||||
| (Unaudited) | ||||||||
ASSETS | ||||||||
Current Assets: | ||||||||
Cash and cash equivalents | $ | 16,051,930 | $ | 10,764,576 | ||||
Accounts receivable, net | 4,308,049 | 5,676,122 | ||||||
Inventories | 23,310,601 | 29,956,361 | ||||||
Prepaid expenses and other current assets | 4,175,250 | 3,351,655 | ||||||
Advances to suppliers, net | 11,870,154 | 8,639,635 | ||||||
Total Current Assets | 59,715,984 | 58,388,349 | ||||||
Restricted cash - non-current | 823,831 | 1,702,935 | ||||||
Long-term deposits | 1,145,185 | 834,686 | ||||||
Property, plant, and equipment, net | 26,822,084 | 27,388,699 | ||||||
Goodwill | 499,282 | 499,282 | ||||||
Operating lease right of use assets | 1,704,177 | 1,038,563 | ||||||
Total Assets | $ | 90,710,543 | $ | 89,852,514 | ||||
LIABILITIES AND EQUITY | ||||||||
Current Liabilities: | ||||||||
Credit facilities | $ | 4,454,127 | $ | 4,902,996 | ||||
Accounts payable | 5,176,288 | 7,167,019 | ||||||
Accrued expenses | 4,936,893 | 5,528,165 | ||||||
Income tax payable - current | 1,445,365 | 1,331,765 | ||||||
Other payables | 2,511,015 | 2,092,183 | ||||||
Deferred revenue | 86,393 | 241,357 | ||||||
Bank loan - current | 235,063 | 58,766 | ||||||
Operating lease liabilities - current | 282,562 | 319,910 | ||||||
Total Current Liabilities | 19,127,706 | 21,642,161 | ||||||
Deferred tax liabilities, net | 73 | 73 | ||||||
Operating lease liabilities - non-current | 1,054,205 | 539,183 | ||||||
Bank loan -non-current | 2,585,737 | 2,762,034 | ||||||
Total Liabilities | 22,767,721 | 24,943,451 | ||||||
Equity | ||||||||
Preferred stock, | - | - | ||||||
Common stock, | 12,939 | 12,939 | ||||||
Additional paid-in capital | 27,034,170 | 26,579,006 | ||||||
Treasury stock, 239,478 shares | (1,169,046 | ) | (1,169,046 | ) | ||||
Statutory reserve | 413,821 | 413,821 | ||||||
Retained earnings | 41,961,328 | 39,394,513 | ||||||
Accumulated other comprehensive loss | (459,027 | ) | (464,753 | ) | ||||
Total Jerash Holdings (US), Inc. Stockholders' Equity | 67,794,185 | 64,766,480 | ||||||
Noncontrolling interest | 148,637 | 142,583 | ||||||
Total Equity | 67,942,822 | 64,909,063 | ||||||
Total Liabilities and Equity | $ | 90,710,543 | $ | 89,852,514 | ||||
JERASH HOLDINGS (US), INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
| For the Six Months Ended September 30, | ||||||||
| 2026 | 2025 | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES | ||||||||
Net income | $ | 3,842,863 | $ | 802,933 | ||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||
Depreciation | 1,665,012 | 1,506,793 | ||||||
Stock-based compensation expenses | 455,164 | 451,495 | ||||||
Amortization of operating lease right-of-use assets | 276,851 | 316,722 | ||||||
Changes in operating assets: | ||||||||
Accounts receivable | 1,368,073 | (2,722,504 | ) | |||||
Inventories | 6,645,760 | 1,447,940 | ||||||
Prepaid expenses and other current assets | (823,595 | ) | 147,924 | |||||
Advances to suppliers | (3,230,519 | ) | (1,350,891 | ) | ||||
Changes in operating liabilities: | ||||||||
Accounts payable | (1,990,731 | ) | 1,248,225 | |||||
Accrued expenses | (591,272 | ) | (267,184 | ) | ||||
Other payables | 418,831 | (647,175 | ) | |||||
Deferred revenue | (154,964 | ) | 204,260 | |||||
Operating lease liabilities | (464,790 | ) | (205,547 | ) | ||||
Income tax payable | 113,598 | (614,713 | ) | |||||
Net cash provided by operating activities | 7,530,281 | 318,278 | ||||||
CASH FLOWS FROM INVESTING ACTIVITIES | ||||||||
Purchases of property, plant and equipment | (803,594 | ) | (844,401 | ) | ||||
Payment for long-term deposits | (598,857 | ) | (209,543 | ) | ||||
Net cash used in investing activities | (1,402,451 | ) | (1,053,944 | ) | ||||
CASH FLOWS FROM FINANCING ACTIVITIES | ||||||||
Dividend payments | (1,269,994 | ) | (1,269,994 | ) | ||||
Repayment of short-term loan | (4,727,235 | ) | (10,003,284 | ) | ||||
Proceeds from short-term loan | 4,278,366 | 10,667,260 | ||||||
Net cash used in financing activities | (1,718,863 | ) | (606,018 | ) | ||||
EFFECT OF EXCHANGE RATE CHANGES ON CASH, CASH EQUIVALENTS AND RESTRICTED CASH | (717 | ) | (19,502 | ) | ||||
NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH | 4,408,250 | (1,361,186 | ) | |||||
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, BEGINNING OF THE PERIOD | 12,467,511 | 15,064,039 | ||||||
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, END OF THE PERIOD | $ | 16,875,761 | $ | 13,702,853 | ||||
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, END OF THE PERIOD | $ | 16,875,761 | $ | 13,702,853 | ||||
LESS: NON-CURRENT RESTRICTED CASH | 823,831 | 1,700,539 | ||||||
CASH AND CASH EQUIVALENTS, END OF THE PERIOD | $ | 16,051,930 | $ | 12,002,314 | ||||
Supplemental disclosure information: | ||||||||
Cash paid for interest | $ | 1,081,738 | $ | 849,330 | ||||
Income tax paid | $ | 692,203 | $ | 1,105,128 | ||||
Non-cash investing and financing activities | ||||||||
Equipment obtained by utilizing long-term deposit | $ | 288,358 | $ | 295,195 | ||||
Operating lease right of use assets obtained in exchange for operating lease obligations | $ | 927,271 | $ | - | ||||
SOURCE: Jerash Holdings (US), Inc.
View the original press release on ACCESS Newswire
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What were Jerash Holdings' fiscal 2027 second-quarter earnings?
Jerash reported net income of $2.2 million and diluted earnings of $0.16 per share for the quarter ended September 30, 2026. The prior-year quarter had net income of $479,000 and diluted earnings of $0.04 per share.
What is JRSH's fiscal 2027 third-quarter outlook?
Jerash expects revenue of approximately $49 million-$51 million, an increase of approximately 17-22 percent from the same quarter last year. Expected gross margin is approximately 16-17 percent, taking increased transportation costs for raw-material imports into account.
Why did Jerash Holdings' second-quarter gross margin improve?
Gross-margin improvement primarily reflected higher shipments to U.S. customers that typically generate higher margins, alongside automation-related efficiency gains. Advance raw-material purchases earlier in the second quarter and tighter controls on wastage allowances also contributed.